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Confused about Price Hikes

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Vodafone recently announced a 7.9% annual price hike 4% CPI + 3.9% to support essential investment. Living in a rural community we have been bombarded by local media adverts to sign up to the Gigabit funding for better internet (full fibre). My question is if the government are funding the roll out of full fibre to the tune of £4K-£5K per household (via openreach), what are the additional investments Vodafone are planning that require extra funding?

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  • prowla
    prowla Posts: 13,989 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    "essential investment" = dividends to keep shareholders happy.
  • 35har1old
    35har1old Posts: 1,923 Forumite
    1,000 Posts Second Anniversary Name Dropper
    bglincs said:
    Vodafone recently announced a 7.9% annual price hike 4% CPI + 3.9% to support essential investment. Living in a rural community we have been bombarded by local media adverts to sign up to the Gigabit funding for better internet (full fibre). My question is if the government are funding the roll out of full fibre to the tune of £4K-£5K per household (via openreach), what are the additional investments Vodafone are planning that require extra funding?
    BT price rise 7.9%
  • iniltous
    iniltous Posts: 3,680 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    edited 10 April 2024 at 7:59AM
    You will not find Openreach have been allocated any public funded rollouts recently, it’s all been to ‘Alt Nets’ , so public money going to private companies that often only have their own ISP on them , so although those areas may get FTTP ( if the Alt Nets stay in business ) and they would never get FTTP if left to the ‘market’ as they costs of providing the network would never be recouped by charging £30 a month , these subsidised customers may have a very limited choice of ISP ,
  • iniltous
    iniltous Posts: 3,680 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    35har1old said:
    bglincs said:
    Vodafone recently announced a 7.9% annual price hike 4% CPI + 3.9% to support essential investment. Living in a rural community we have been bombarded by local media adverts to sign up to the Gigabit funding for better internet (full fibre). My question is if the government are funding the roll out of full fibre to the tune of £4K-£5K per household (via openreach), what are the additional investments Vodafone are planning that require extra funding?
    BT price rise 7.9%
    What that got to do with VF or the Government funding private monopolies 
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